Herbalife aims to simplify financial disclosures

Herbalife
, which is in the midst of defending itself against accusations from short seller Bill Ackman that it is a pyramid scheme, said it plans to simplify its financial disclosures to help investors better understand its business.

The maker of protein shakes and nutritional supplements said it\’s held \”short discussions\” with its big investor Icahn, who since December has quickly amassed a 13% stake in Herbalife. Icahn, who\’s been a very vocal Ackman critic, has suggested the company go private or do a recapitalization.

Midday Wednesday after the call concluded, Herbalife shares were down 4% to $38.13.

Here\’s what Herbalife CEO Michael Johnson said on Wednesday\’s call:

Johnson: We are experiencing strong momentum in the business despite what we believe to be untrue and unfair attacks against the company.

Johnson: We plan to simply financial information to help investors better understand our company. Plan to update and expand U.S. statement of average growth compensation. Disclosure document will also be included in every new distributor application in the US.

Johnson: We will announce name changes for how we categorize distributors and customers.

Johnson: The goal of these changes is to have the categories more closely match the intent and distributor base so that investors and the public can more easily understand our business.

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